India–US Trade Tensions Rise Over Steel and Auto Tariffs NMDC Limited reports a 38% drop in Q4 FY24 consolidated net profit RINL to Raise $23 Million Through Land Sales Amid Crisis
India’s steel exports to Europe are expected to decline once the European Union’s Carbon Border Adjustment Mechanism (CBAM) – effectively a carbon tax on imports – takes effect from January 1, 2026.
Currently, roughly two-thirds of India’s steel exports are shipped to Europe. The new levy will raise the landed cost of Indian steel, especially material produced via the blast furnace–basic oxygen furnace route, which has higher carbon emissions. This is likely to erode margins and competitiveness for Indian mills in the EU market.
Industry executives and analysts say steelmakers are now exploring alternative markets in Africa and the Middle East, while also counting on strong domestic demand driven by infrastructure spending to absorb more volumes at home. At the same time, producers face pressure to accelerate decarbonisation plans, including greater use of electric arc furnaces and low-carbon technologies.
There is still uncertainty among companies over how CBAM liabilities will be calculated and whether rates will differ by producer, adding to planning challenges. In the near term, the mechanism is expected to slow India’s steel exports to the EU, even as policymakers continue diplomatic efforts to seek relief and push for global climate measures that are more equitable for developing economies.
Also Read : RINL Invites Bids for 32 Key Units at Vizag Steel Plant Punjab Partners with Tata Steel for ₹2,600 Crore Green Steel Plant
Coal India Ltd (CIL) has achieved its annual supply target of 610 million tonnes (MT) to the thermal...
Energy 28-Mar-2024
A recent analysis by ICRA, a prominent credit rating agency, suggests that introducing new mining ca...
Raw Material 27-Aug-2024
India has launched a fresh push to strengthen its mineral security by directing key public-sector co...
Construction 28-Nov-2025
Jindal Steel & Power Ltd (JSPL) has reaffirmed its FY2025–26 sales target and announced a...
Construction 30-Oct-2025
India's steel demand is expected to grow between 9-12% during the ongoing 2024-25 fiscal, as per a r...
Ferrous 12-Jun-2024
ArcelorMittal has completed its acquisition of the remaining 50% stake in the Calvert steel facility...
Business 20-Jun-2025